Spring Revenue Estimating Conference Reports Positive Outlook

On Friday, March 25, 2022, Gov. Albert Bryan Jr. attended the Office of Management and Budget’s 2022 Spring Revenue Estimating Conference. It is mandated by law that this conference be held twice a year for the Government of the Virgin Islands revenue-generating agencies to report their financial forecasts.

According to presentations from 21 revenue-generating government agencies, autonomous entities, and, for the first time, the Chambers of Commerce from both districts, the financial outlook for the U.S. Virgin Islands is stable and growing, with revenues on par with, or better than, pre-COVID levels.

Bolstering the projections for positive revenue increases, which are forecast to trend into Fiscal Years 2023 and 2024:

The Territory’s gross domestic product remains stronger than that of the U.S. Mainland in the aftermath of the pandemic.
Tourism’s strong rebound, with hotel revenues in the 1st Quarter of 2022 growing by 75% and the number of visitors almost doubling compared with the same period last year.
Unemployment has dropped back to pre-COVID levels at 7.9%
Dozens of upcoming private sector and government capital projects, including the reopening of the Marriott on St. Thomas and the restart of the Limetree Bay Refinery on St. Croix, are forecast to boost revenues in F.Y. 2023 and 2024 substantially.

Bryan reiterated that the Territory’s economy is stable and growing. The biggest issue he faces is finding workers to fill the many jobs currently available, and that will be created by the dozens of recovery projects already underway and will start throughout fiscal year 2022.